Leading Web Hosting Company Announces Revenue Increase Following Dedicated Server Plan Cost Reduction

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Prolime Host, a leading web hosting company, announced the outcomes of their recent internal financial audit today. The highlight of the audit was a 20% increase in net revenue and 35% increase of total customers in the Linux dedicated hosting client subscriber base at a quarter-to-quarter basis. The low cost dedicated server business model was found to be the biggest differentiating factor. These numbers are expected to remain steady over the next quarter, as per the company reports.



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Prolime Host, one of the fastest emerging web hosting companies, announced the results of their internal audit for assessing the overall company health today. The audit was conducted earlier this month, looking at the various factors concerning the financial state of the organization such as direct customer revenues driven by new customer acquisitions and value added services availed by existing customers, operational cost savings, campaign effectiveness and indirect revenue generation such as third-party advertisements. The outcomes were surprising, as per the company executives.

“The audit results have thrown up many major surprises”, said Tom Beck, the CTO of the company. “Luckily for us, these have been pleasant surprises. Our net revenue has increased by 20%, although the gross number of customers is up by almost 35%. Most of this has been driven by the spurt in our Linux subscriber base. A deeper look in the audit report is clearly indicating that the recent switch of our business model that now lets us provide low cost dedicated server hosting to our clients is finding wide acceptance. We ensure our support quality remains top notch along with this, and that is slowly but surely making us well-positioned to become a leader in this marketplace.”

The dedicated server hosting business of Prolime Host had moved to a low-cost business model hoping to attract and retain higher volumes of customer earlier in July, 2012. The dedicated server hosting prices had been slashed significantly to make the prices more affordable. With the slash, the company had emerged as one of the least aggressively priced hosts in the market.

“The returns of being low of price and high on service are now paying off”, said Beck. “We have remained focused on the value that we deliver to the customers and have been committed to help our customers get the best value for their dollars. Our strategies have once again proved the eternal truth behind offering services: quality always wins.”

While Beck stressed upon the quality, the industry analysts have also reacted positively to this news. On condition of anonymity, an analyst expressed surprise about the success of the current business model of Prolime host. The company has performed way beyond the industry expectations both financially as well as technically, especially in the second half of 2012, as per the analyst. “The audit details being internal to Prolime, I have not seen the inner details”, said the analyst. “But the numbers are surprisingly high, and that is clearly a positive indication for the company.”

The dedicated server based hosting provider is confident about sustaining these high growth figures in the upcoming quarter also. “Our audit indicates a healthy growth that our customers have loved so far – so there is every reason for us to believe that we shall grow at least as fast in the next quarter both in terms of number of clients and net revenue”, said a company spokeswoman.

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